US Department of Veterans Affairs and US Department of Education Collaborate to Eliminate Student Debt for Eligible Disabled Veterans
In 2016, a program was developed in which the US Department of Education collaborated with the Social Security Administration to identify education borrowers who were receiving disability payments in order to determine their eligibility for loan forgiveness. Although the US Department of Veterans Affairs signed an agreement in November 2016 that would have extended the program to Veterans, it was not implemented. This resulted in the April 16 action, which seeks to rectify the oversight by making it easier for permanently disabled military Veterans to have their federal student debt wiped away.
Working with the VA, the US Department of Education will begin identifying eligible Veterans who will receive an application for loan forgiveness. Disabled veterans must sign and return the application to complete the process.
The next step is to automate loan discharges for severely disabled people, eliminating the need for borrowers to apply for a benefit that they are due under the law. Veterans do need to check that state policy is aligned with the federal policy in terms of the cancelation of debt tax.
Read more at The Washington Post.